What is COBRA?

COBRA is an acronym for Consolidated Omnibus Budget Reconciliation Act. COBRA provides temporary continuation of group health, dental, and vision coverage that might otherwise end due to a certain qualifying event.

What type of coverage is it?

COBRA is a continuation of your State Group benefits that you were enrolled in, prior to benefits ending. For example: Prior to ending State employment you were enrolled in the State Health Plan PPO. When you choose to enroll in COBRA and elect health, it is a direct continuation of your same State Health Plan PPO; the same is true for dental and vision plans. Health, dental, and vision are all available for continuation, and you may also be eligible for life insurance continuation if you are on a leave of absence or layoff from State service.

Why would I need it?

Several different events may trigger the loss of insurance coverage for employees, spouses, or dependent children, some examples of those events are:

You leave State employment (for any reason other than gross misconduct)

Leave or layoff

Reduction in the number of hours of employment

Divorce from the covered employee

Death of employee

Loss of dependent child status under State of Michigan eligibility guidelines.

What is the cost?

Under COBRA if you, a spouse, or dependent should lose eligibility for State group health, dental, or vision insurances you may be eligible to continue these coverages temporarily by paying the full premium directly to the State of Michigan. The full premium will include the amount previously paid as the employee’s share plus the State's share and, in some cases, an additional 2% service fee. COBRA Insurance RatesRetiree COBRA Insurance Rates (PDF)